 "Patanjali Foods Q2 results: Net profit increases 21% to Rs 309 cr")
Indian consumer goods maker Patanjali Foods reported a 21 per cent rise in second-quarter profit on Thursday, aided by strong demand at its mainstay cooking oils business.
The Ruchi Gold oil maker's profit rose to Rs 309 crore (about $37 million) for the three months ended Sept. 30, from Rs 255 crore a year earlier.
India's edible oil demand has been buoyant as cooking oils remain affordable despite an import duty hike, analysts said.
Consumer goods makers have also been witnessing a pickup in demand in India's rural areas, with sales there outperforming urban areas.
Revenue from Patanjali's edible oils segment, which makes up nearly three-fourths of its total revenue, rose about 10 per cent during the quarter.
That led to a 4 per cent growth in overall revenue to Rs 8,154 crore.
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However, revenue from the food and fast moving consumer goods segment fell 7 per cent, in line with sluggish demand at the industry level, the company said in a statement.
Margins on earnings before interest, tax, depreciation, and amortization expanded to 6.06 per cent from 5.34 per cent a year earlier.
Peer Adani Wilmar also reported higher second quarter profit on steady edible oils demand.